Report by Director of Finance (CC8).

This report is the culmination of the Service & Resource Planning process for 2019/20 to 2022/23. It sets out the Cabinet’s proposed budget for 2019/20, medium term financial plan to 2022/23 and capital programme to 2028/29, together with a number of strategies and policies that the Council is required to approve for the 2019/20 financial

year.

The report is divided into four main sections which are outlined below:

Section 1 – Leader of the Council’s overview (To follow)

Section 2 – Corporate Plan

Section 3 – Statutory Report by the Director of Finance (Chief Finance Officer)

Section 4 – Budget Strategy and Capital Programme

The Council is RECOMMENDED to:

(a)          approve the Corporate Plan 2019 – 2021 as set out in section 2;

(b)          have regard to the statutory report of the Director of Finance (at Section 3) in approving recommendations c to e below;

(c)          (in respect of revenue) approve:

(1)          the council tax and precept calculations for 2019/20 set out in section 4.3 and in particular:

(i)           a precept of £369,064,777;

(ii)          a council tax for band D equivalent properties of £1,468.83;

(2)          a budget for 2019/20 as set out in section 4.4;

(3)          a medium term plan for 2019/20 to 2022/23 as set out in section 4.1 (which incorporates changes to the existing medium term financial plan as set out in section 4.2;

(4)          virement arrangements to operate within the approved budget for 2019/20 as set out in section 4.5;

(5)          the Financial Strategy for 2019/20 at section 4.6

(6)          the Earmarked Reserves and General Balances Policy Statement 2019/20 at section 4.7 including

(i)           the Chief Finance Officer’s recommended level of balances for 2019/20 (section 4.7 Appendix 1), and

(ii)          the planned level of reserves for 2019/20 to 2022/23 (section 4.7.1)

(7)          the use of Dedicated Schools Grant (provisional allocation) for 2019/20 as set out in section 4.8; and

(d)          (in respect of treasury management) approve:

(1)          the Treasury Management Strategy Statement and Annual Investment Strategy for 2019/20 incorporated in the Capital & Investment Strategy in section 4.9;

(2)          the continued delegation of authority to withdraw or advance additional funds to/from external fund managers to the Treasury Management Strategy Team;

(3)          that any further changes required to the 2019/20 strategy be delegated to the Chief Finance Officer in consultation with the Leader of the Council and the Cabinet Member for Finance;

(4)          the Treasury Management Prudential Indicators; and

(5)          the Specified Investment and Non Specified Investment Instruments as set out in Appendix A and B of section 4.9.

(e)          (in respect of capital) approve:

(1)          the Capital & Investment Strategy for 2019/20 – 2028/29 including the Prudential Indicators and Minimum Revenue Provision Methodology Statement as set out in Section 4.9; and

(2)          a Capital Programme for 2019/20 to 2028/29 as set out in section 4.9.1 which includes the Highways Structural Maintenance Programme 2019/20 and 2020/21 in section 4.9.3.

The Council had before it a report (CC8) which outlined the service & resource planning process for 2019/20 to 2022/23 and set out the Cabinet’s proposed budget for 2019/20, together with the Corporate Plan, the medium-term financial plan to 2022/23 and capital programme to 2028/29, together with a number of strategies and policies that the Council was required to approve for the 2019/20 financial year.

The report was divided into four sections; the Leader of the Council’s Overview (section 1); the Corporate Plan (section 2); the Director of Finance’s Statutory Report (section 3) and Capital Programme (section 4).

The Council also had before it budget proposals in the form of: (Additional papers pack 1) Leader of the Council’s Overview, Schedule of Business and Addenda in relation to the Pay Policy Statement; and (Additional papers pack 2) Amendments from the Labour Group (CC8 Labour) and Amendments from the Liberal Democrat Group) (CC8 Lib Dem).

Councillor Hudspeth moved and Councillor Bartholomew seconded the Cabinet’s recommendation on Service & Resource Planning 2019/20 – 2022/23.  In moving the motion, Councillors Hudspeth and Bartholomew paid tribute to Katie Jurczyszyn and team for their work on preparing the Budget.

Councillor Brighouse moved and Councillor Phillips seconded an amendment to the Cabinet’s budget as set out in the Additional Papers Pack 1 (CC8 Labour).

Following debate, the Labour amendment was put to the vote and was lost by 34 votes to 18, with 9 abstentions.

Councillor Webber moved and Councillor Leffman seconded an amendment to the Cabinet’s budget as set out in the Additional Papers Pack 1 (CC8 Lib Dem). In moving his motion, Councillor Webber thanked officers and his colleagues for their help and support.

Following debate, the amendment by the Liberal Democrat Group was put to the vote and was lost by 35 votes to 19, with 6 abstentions.

Following a lengthy debate, the Substantive motion was then put to the vote and was carried by 33 votes to 26.

Voting was as follows:

Councillors voting for the motion (33)

Atkins, Bartholomew, Bartington, Billington, Bulmer, Carter, Clarke, Constance, Corkin, Fatemian, Fenton, Field-Johnson, Fitzgerald O’Connor, Fox-Davies, Gray, Griffiths, Handley, Harrod, Heathcoat, Hibbert-Biles, Hudspeth, Ilot, Lindsay-Gale, Mallon, Matelot, Mathew, Reeves, Reynolds, Sibley, Stratford, Thompson, Waine, Walker.

Councillors voting against the motion (26)

Afridi, Azad, Banfield, Brighouse, Buckley, Cherry, Fawcett, Hanna, Hannaby, Hayward, Howson, Johnston, Leffman, Lygo, McILveen, Phillips, Pressel, Price, Roberts, Rooke, G Sanders, J Sanders, E Smith, R Smith, Turnbull and Webber.

It was accordingly:”

RESOLVED: (33 votes to 26)to:

(a)         approve the Corporate Plan 2019 – 2021 as set out in section 2;

(b)         have regard to the statutory report of the Director of Finance (at Section 3) in approving recommendations c to e below;

(c)          (in respect of revenue) approve:

(1)          the council tax and precept calculations for 2019/20 set out in section 4.3 and in particular:

(i)           a precept of £369,064,777;

(ii)          a council tax for band D equivalent properties of £1,468.83;

(2)          a budget for 2019/20 as set out in section 4.4;

(3)          a medium term plan for 2019/20 to 2022/23 as set out in section 4.1 (which incorporates changes to the existing medium term financial plan as set out in section 4.2;

(4)          virement arrangements to operate within the approved budget for 2019/20 as set out in section 4.5;

(5)          the Financial Strategy for 2019/20 at section 4.6

(6)          the Earmarked Reserves and General Balances Policy Statement 2019/20 at section 4.7 including

(i)           the Chief Finance Officer’s recommended level of balances for 2019/20 (section 4.7 Appendix 1), and

(ii)          the planned level of reserves for 2019/20 to 2022/23 (section 4.7.1)

(7)          the use of Dedicated Schools Grant (provisional allocation) for 2019/20 as set out in section 4.8; and

(b)          (in respect of treasury management) approve:

(1)          the Treasury Management Strategy Statement and Annual Investment Strategy for 2019/20 incorporated in the Capital & Investment Strategy in section 4.9;

(2)          the continued delegation of authority to withdraw or advance additional funds to/from external fund managers to the Treasury Management Strategy Team;

(3)          that any further changes required to the 2019/20 strategy be delegated to the Chief Finance Officer in consultation with the Leader of the Council and the Cabinet Member for Finance;

(4)          the Treasury Management Prudential Indicators; and

(5)          the Specified Investment and Non Specified Investment Instruments as set out in Appendix A and B of section 4.9.

(c)          (in respect of capital) approve:

(1)          the Capital & Investment Strategy for 2019/20 – 2028/29 including the Prudential Indicators and Minimum Revenue Provision Methodology Statement as set out in Section 4.9; and

(2)          a Capital Programme for 2019/20 to 2028/29 as set out in section 4.9.1 which includes the Highways Structural Maintenance Programme 2019/20 and 2020/21 in section 4.9.3.